ISLAMABAD
Crude oil prices edged up Thursday amid a weaker US dollar despite concerns over Omicron variant of the coronavirus.
As of 1230 hours GMT, Brent, the international benchmark for two-thirds of the world’s oil, gained $0.13 (+0.17 percent) to reach $75.42 a barrel. Similarly, the US WTI price reached $72.83 a barrel, up by $0.07 (+0.10 percent).
The price for Opec Basket was recorded at $74.23 a barrel without any change, Arab Light was available at $76.83 with a 1.67 percent increase, and the price of Russian Sokol jumped to $77.09 with an increase of 1.63 percent.
The safe-haven dollar languished near an almost one-week low against its major peers in the international markets on Thursday as investors adopted a more optimistic stance about the global economic outlook, despite the rapid spread of the Omicron coronavirus variant. The dollar index, which measures the currency against six rivals, slipped 0.08 percent to 96.032 and earlier reached 96.018 for the first time since December 17. A weaker US dollar buoys oil markets as it makes commodities cheaper for those holding other currencies.
The Omicron variant of coronavirus threatens to dent oil consumption globally. Governments around the world are tightening restrictions to stop the spread of the Omicron variant. Covid woes escalate in the West and challenge the holiday mood, as well as travel plans and hopes of energy demand linked to that.
Global oil and gas discoveries in 2021 are on track to hit the lowest full-year level in 75 years if the remainder of this month does not yield significant hydrocarbons finds. Total global discovered volumes of oil and gas this year is estimated at 4.7 billion barrels of oil equivalent and with no major finds announced so far in December, the industry is set to hit the lowest discoveries mark since 1946, the US-based independent energy research and data analytics company said. The 2021 hydrocarbon discoveries are also less than half of the 12.5 billion barrels of oil equivalent discovered in 2020.
